Jebsen Group, the largest Porsche dealer in China, will invest 468 million yuan ($74.37m) in the following two years, to expand its sales network.
Although the market slowed down in 2011, the luxury manufacturers performed strongly with sales increasing over 40%. For 2012, the World Luxury Association forecast an increase of 15% in the luxury vehicle market.
The factors that led to the success in the Chinese market, include the increased purchasing potential among the mid- to upper class, an every growing number of automobile purchases and falling prices for luxury models.
Jebsen Group plans to expand its Porche distribution in China, by investing $741 million in the coming two years. The Hong Kong-based company sold 6,662 Porsche cars in China last year, making up 27 percent of the total sales of the premium auto brand in the emerging market. Jebsen said it expects sales to increase 10 percent this year.
The new funds are to b invested in four sales and service centers in Beijing, Shanghai, Hangzhou and Shenzhen by 2013, doubling the business area of Jebsen’s Porsche distribution facility in Hong Kong and moving its sales and service center in Macao to a bigger venue.